Runfeng announced that it will acquire 100% equity of Spanish agrochemical company Exclusivas Sarabia, S.A. in cash. After the transaction is completed, Sarabia will become a wholly-owned subsidiary of Runfeng.
Exclusivas Sarabia, S.A. was established in 1985 and headquartered in Fraga, Huesca, Spain. It is a Spanish family business with a long history, focusing on the production and brand marketing of crop protection products. The factory is located in Lleida, Spain. Spain and surrounding markets have a good brand reputation and marketing network.
The European Union belongs to the global crop protection market with high threshold and market value. It takes a long time to enter the market, the investment is large, and the registration rules are complicated and changeable. It is an important market that Runfeng has already included in the plan to expand. Runfeng Co., Ltd. has started to invest in the equivalent certification of technical materials in the EU since 2016, and has obtained the equivalent certification of about 80 active ingredients in the EU, and is still continuing to complete the EU equivalent certification for more active ingredients. At present, Runfeng's agrochemical active component supply platform in the EU market has been completed and is continuously being enriched and improved.
After the acquisition of Sarabia, Runfeng will further integrate Sarabia's product system and marketing network based on the strategic plan for the EU market, give full play to the resource advantages of Runfeng, complement and coordinate with Sarabia, and greatly accelerate the expansion of Runfeng Processes in the EU market.
Runfeng's acquisition of 100% of Sarabia's equity is to further improve the global marketing network and continue to strengthen the global layout, which is in line with the strategic planning of Runfeng and the interests of all shareholders.
For this transaction, Deloitte Management Consulting Co., Ltd. was engaged as the financial advisor, and Jingtian & Gongcheng Law Firm and ECIJA Law Firm were engaged as the legal advisors for this transaction.
Source: Runfeng Stock Announcement
